If your business has suffered VAT on expenses incurred in another EU country, for example overseas hotel and restaurant bills, then it is possible to reclaim the foreign VAT.
The foreign VAT must not however be reclaimed on the UK VAT return but by using HMRC ‘s VAT online services system.
You must claim by 30 September of the year following the one in which you were charged the VAT.
Your claim cannot be for a period:
- for more than a calendar year
- less than 3 months
The minimum amount you can claim varies between EU countries, but is generally:
- €400 for claims of more than 3 months but less than a year
- €50 for claims for a whole year or the period between your last claim and the end of the year
The conditions for being able to reclaim the foreign VAT are that the business must:
- be VAT registered in the UK
- not be registered for VAT in the EU country nor have a place of business there
- not make supplies of goods or services in that EU country, except for transport services
We can assist with your refund claims if this applies to your business.